Transactions
August 27 2021
KippsDeSanto & Co. advises BEI Precision Systems & Space Company, Inc., a portfolio company of J.F. Lehman & Company, on its sale to Quantic Electronics, a portfolio company of Arcline Investment Management
KippsDeSanto & Co. is pleased to announce the sale of BEI Precision Systems & Space Company, Inc. (“BEI Precision” or the “Company”), a portfolio company of its client J.F. Lehman & Company, to Quantic Electronics, a portfolio company of Arcline Investment Management.
Headquartered in Maumelle, AR, BEI Precision designs and manufactures the highest performing and most resilient and reliable position feedback sensors and frequency reference technologies for mission-critical space, land, air, and sea applications. BEI Precision has a diverse portfolio of proprietary technologies, including state-of-the-art space encoders, crystal oscillators, and other military sensors.
The Company has built a robust portfolio of sole-sourced, long-term contracts in partnership with key prime partners and government end customers. As a result, BEI Precision’s products are designed into a number of classified efforts as well as other high priority programs across space and defense. BEI Precision also has a growing footprint within the high growth and emerging commercial space market which it addresses with its proprietary encoder and oscillator product offerings. The Company’s established presence across numerous well-funded and strategically important market segments positions it well for continued growth in the future.
We believe this transaction highlights several key trends in the M&A market:
• Space remains a highly coveted market segment because of its importance to National Security objectives
• Strong preference for defense and space companies with technically differentiated, proprietary products and embedded positions on sought-after programs
• Sponsors continue to seek acquisitions with accomplished management teams, strong revenue and earnings visibility, and highly actionable growth levers
LEAD INVESTMENT BANKERS
KippsDeSanto & Co. is pleased to announce the sale of BEI Precision Systems & Space Company, Inc. (“BEI Precision” or the “Company”), a portfolio company of its client J.F. Lehman & Company, to Quantic Electronics, a portfolio company of Arcline Investment Management.
Headquartered in Maumelle, AR, BEI Precision designs and manufactures the highest performing and most resilient and reliable position feedback sensors and frequency reference technologies for mission-critical space, land, air, and sea applications. BEI Precision has a diverse portfolio of proprietary technologies, including state-of-the-art space encoders, crystal oscillators, and other military sensors.
The Company has built a robust portfolio of sole-sourced, long-term contracts in partnership with key prime partners and government end customers. As a result, BEI Precision’s products are designed into a number of classified efforts as well as other high priority programs across space and defense. BEI Precision also has a growing footprint within the high growth and emerging commercial space market which it addresses with its proprietary encoder and oscillator product offerings. The Company’s established presence across numerous well-funded and strategically important market segments positions it well for continued growth in the future.
We believe this transaction highlights several key trends in the M&A market:
• Space remains a highly coveted market segment because of its importance to National Security objectives
• Strong preference for defense and space companies with technically differentiated, proprietary products and embedded positions on sought-after programs
• Sponsors continue to seek acquisitions with accomplished management teams, strong revenue and earnings visibility, and highly actionable growth levers
LEAD INVESTMENT BANKERS
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